Govt Approves Tk 12,300 Crore Budget for Public Universities and UGC

The University Grants Commission (UGC) has approved a total budget of BDT 12,300 crore and 4 lakh for the 2026–27 fiscal year to cover the expenditures of the country’s 58 public universities and the commission itself. Out of this comprehensive financial allocation, BDT 12,001 crore and 82 lakh has been designated for the 58 public universities, while BDT 298 crore and 58 lakh has been allocated directly to the UGC.

Within the consolidated public university budget, BDT 7,428 crore and 43 lakh has been earmarked as operational expenditure, and BDT 4,573 crore and 39 lakh has been designated as development expenditure under 43 specific development projects.

The budget was formally approved today, Thursday, during the 178th Full Commission meeting chaired by UGC Chairman Professor Dr. Mamun Ahmed. The official working papers of the session were placed by UGC Secretary Dr. Fakhrul Islam, while the various dimensions of the revised budget for FY 2025–26 and the original budget for FY 2026–27 were presented by Professor Dr. Mohammad Aiyub Islam, the member in charge of the UGC’s Finance and Accounts Division.

In the outgoing FY 2025–26 cycle, the revised budget allocation for 57 public universities stood at BDT 10,802 crore and 21 lakh. Comparatively, the funding for public universities has experienced an increase of BDT 1,497 crore and 83 lakh for the upcoming 2026–27 fiscal year. Dhaka University has secured the highest revenue budget for FY 2026–27, receiving an individual allocation of BDT 949 crore and 36 lakh.

Research and Foreign Scholarship Allocations Combined Under Single Umbrella

A total of BDT 238 crore has been earmarked for higher education research and foreign scholarships within the main UGC budget for the 2026–27 fiscal year. In the original budget of the outgoing FY 2025–26, the cumulative allocation for research and foreign scholarships was BDT 229 crore. Out of that previous amount, BDT 194 crore was placed within the individual budgets of the universities, and BDT 35 crore was retained in the UGC budget. This marks a total sector-wide increase of BDT 9 crore for the upcoming year. Notably, nearly 80 percent of the total budget allocated solely to the UGC for FY 2026–27 has been directed into this specific research and foreign scholarship sector.

This structural rearrangement follows a prior decision made on April 4, 2026, during a tripartite meeting on the Medium-Term Budget Framework (2026–27 to 2028–29) organized by the Secondary and Higher Education Division. To prevent the duplication of research funding, it was decided to merge the research sectors of the individual universities and the UGC.

Consequently, starting from the 2026–27 fiscal year, the BDT 200 crore previously allocated to the research sectors of the universities has been integrated directly into the commission’s centralized budget, bringing the UGC's total research allocation to BDT 226 crore. With the addition of BDT 12 crore from the foreign scholarship sector, the consolidated allocation stands at BDT 238 crore.

Centralized Distribution Strategy to Enhance Academic Quality

The UGC Chairman informed the commission that a comprehensive policy guideline will soon be formulated in consultation with the universities to ensure the effective utilization of this consolidated research fund. He emphasized that centralizing the research funds will not harm the research activities of the individual universities. Instead, it will create an opportunity to distribute financial resources more effectively by evaluating the potential impact, qualitative standard, and actual necessity of the proposed research projects.

The Chairman noted that while the current allocation is still inadequate compared to the total demand of the country's universities, the higher education sector will benefit immensely if funds are utilized with strict transparency and accountability by identifying social needs and high-priority sectors. He re-emphasized that the primary objective of the UGC is to ensure qualitative higher education and foster a strong culture of research, noting that high-quality research is indispensable for building a knowledge-based economy and achieving sustainable development. The commission is placing a special emphasis on research and innovation to encourage universities to expand their innovative operations, with plans to significantly increase allocations in this sector in the future.

Full Commission Attendance

The high-level meeting was attended by Full Commission members including UGC Members Professor Dr. Mohammad Anwar Hossain, Professor Dr. Md. Saidur Rahman, Professor Dr. Masuma Habib, Professor Dr. Mohammad Aiyub Islam, and Professor Dr. Abdullah-al-Mamun.

Other key members present included Nasreen Jahan, Member (Secretary) of the Socio-Economic Infrastructure Division of the Planning Commission; Professor Dr. Mohammad Mosharraf Hossain, Vice-Chancellor of Jatiya Kabi Kazi Nazrul Islam University; Professor Dr. Md. Payer Ahmed, Vice-Chancellor of Chandpur Science and Technology University; Professor Dr. Md. Nazmul Ahsan, Vice-Chancellor of Khulna Agricultural University; Professor Dr. Md. Shawkat Ali, Vice-Chancellor (Dean Category) of Begum Rokeya University; Professor Dr. Md. Nizam Uddin, Vice-Chancellor and Dean (Faculty of Engineering and Technology) of Sunamganj Science and Technology University; Professor Dr. Med. Md. Ziaur Rahman Chowdhury, Vice-Chancellor (Dean Category) of Sylhet Medical University; and Alif Rudaba, Additional Secretary (University) and representative of the Ministry of Education.